Macquarie warns on profits

Shares in Macquarie, the Australian bank bidding for the London Stock Exchange, plunged 7% today after it warned that second-half investment banking profits will drop "significantly".

Allan Moss, chief executive of Macquarie Bank, said in a briefing to investors and analysts yesterday: "The investment banking group expects its profit to be significantly lower in the second half, due to the absence of significant performance fees."